“Apart from the implications this has for the market itself, it also has the potential to impact the wider economy contributing to a softer trend in household spending.

“This could make Bank of England deliberations around a May hike in interest rates, which is pretty much odds-on at the moment, a little more finely balanced than would otherwise be the case.”

Outlook brighter

The outlook for the market is more positive, with more surveyors expecting an increase in sales than a further fall.

Brian Murphy, head of lending for the Mortgage Advice Bureau, said: “It’s interesting to note that 17% more of respondents believe we’ll see a pick up in sales activity in twelve months’ time, which will be after our scheduled departure date from Europe, which appears to reflect sentiment that a lot of would-be movers are holding on until after Brexit before making any major decisions.

“Whether or not at this point we’ll see demand, activity and values return to previous levels in the currently stalling London and South East markets, however, remains to be seen.”